Changes in wealth inequality in the modern European-American civilization

Abstract

This study is aimed to analyze changes in wealth inequality in the modern European-American civilization (EAC). The research object includes five parts of the EAC from West to East: USA, Western Europe, Latvia, Ukraine, Russia. Statistical deciles is a tool for measuring and comparing wealth inequality: the top 10% (including the top 1%), the middle 40% and the bottom 50% of the population. 1995 and 2021 are time points for diachronic analysis. The source of empirical information is the data of the World Inequality Database. The study results showed that in different parts of the modern EAC, wealth inequality has different level and trends of changes: from rapid concentrating to deconcentrating. The USA and Russia are vivid examples of rapidly increasing wealth inequality and very strong wealth concentration, although average per adult national wealth in the USA is 4-5 times higher than in Russia. The USA, Western Europe, and Russia differ from each other in the cultural dimensions of Hofstede. The novelty of this study is the use by the authors of economic analysis for a deeper and more comprehensive understanding of the modern EAC, based not only on system-forming religious and cultural differences, but also on economic ones.